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Perceived Utility in Online Auctions: A Joint-Effect of Vendor, Product and Pricing

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  • Kuanchin Chen

    (Department of Business Information Systems, Western Michigan University, Kalamazoo, MI, USA)

  • Jengchung Victor Chen

    (Institute of International Management, National Cheng Kung University, Tainan City, Taiwan)

Abstract

Perceived utility is among the many factors that influence a buyer's purchase intention in online auctions. In this study, the authors examined a model for the predictors of perceived utility and perceived product quality. The results show that the single most dominant predictor for perceived product quality is the perceived seller quality, followed by perceived price gap. Perceived price gap outweighs perceived product quality and seller quality as the most influential predictor for perceived utility. The role that product information sufficiency plays is not significant enough to impact perceived product quality. Nor does it have an effect on the final perceived utility. Several managerial implications are discussed.

Suggested Citation

  • Kuanchin Chen & Jengchung Victor Chen, 2014. "Perceived Utility in Online Auctions: A Joint-Effect of Vendor, Product and Pricing," International Journal of E-Adoption (IJEA), IGI Global, vol. 6(1), pages 34-52, January.
    • Handle: RePEc:igg:jea000:v:6:y:2014:i:1:p:34-52
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